Right to Use Assets and Liabilities

9 Months Ended

Sep. 30, 2018

Right to Use Assets and Liabilities

Right to Use Liabilities

7. Right to Use Assets and Liabilities

The Company leases operating facilities throughout the United States. The Company analyzes all leases in accordance with ASC 840 — Leases.  The Company has included the right to use assets in property and equipment, net, as follows (in thousands):

	September 30,		December 31,
	2018		2017
Right to use assets	$	10,673	$	10,673
Accumulated depreciation		(1,120)		(926)
	$	9,553	$	9,747

The following is a schedule by year of the future changes in the right to use liabilities as of September 30, 2018 (in thousands):

2018	$	218
2019		486
2020		486
2021		487
2022		487
Thereafter (1)		13,260
Total minimum lease payments		15,424
Amounts representing interest		(5,350)
Present value of net minimum right to use liability payments	$	10,074

⁽¹⁾ Includes $4.8 million of scheduled derecognition of right to use liabilities upon the reduction in lease deposits to less than two months’ rent.